Villiers was bankrupted as a result of the expedition (although he did get three books out of the episode - Cruise of the Conrad, Stormalong, and Joey Goes to Sea), and sold the ship to Huntington Hartford, heir to the A&P supermarket fortune, who added an engine and used her as a yacht.
In 1939 Hartford donated Joseph Conrad to the United States Coast Guard for use as a training ship for the merchant marine based in Jacksonville, Florida. She participated in a training cruise through the Caribbean beginning in December, 1939 and sailed in the St. Petersburg to Havana Yacht Race in early 1941, a few months before the United States entered World War II. The Coast Guard turned the vessel over to the Maritime Administration when the merchant marine training functions of the Coast Guard were transferred to the newly created War Shipping Administration on September 1, 1942. Joseph Conrad continued to serve as a training ship until the war's end in 1945. 
After being laid up for two years, the ship was transferred to Mystic Seaport in Stonington, Connecticut in 1947 where she has remained ever since as a floating exhibit. In addition to her role as a museum, she is also a static training vessel and is employed by Mystic Seaport to house campers attending the Joseph Conrad Sailing Camp.